An analytical methodology for comparing the suitability of management science models

It is generally recognized that practicing managers plan and take decisions by considering a few “key” factors in a given situation. However, this process of simplification can result in many different “decision models” and the question arises: which model is an “adequate and sufficient” representation of reality for the decision problem in hand. A methodology for comparing alternative mathematical models of a given strategic-planning problem, involving a well-defined interaction between the manager and the management scientist is presented. To illustrate, a specific problem of resource allocation in an applied research and development laboratory is defined, and the approach is illustrated using data from an industrial case study.